Conservation of energy is very crucial for meeting the goal of sustainable development. It has been predicted by CNBC, that the world will face a shortage of oil supply and other resources by 2020. The blockchain can help us use our electricity efficiently, thus saving our fossil fuels.

The need for DLT platforms

The blockchain has found its application in various fields making it the most important innovation since the invention of the Internet itself. The dream of selling excess electricity to each other has fallen into place with the help of the blockchain. The blockchain-based peer-to-peer solar energy trading platforms are revamping the trade of electricity. The producers and consumers are using smart contracts to eliminate middlemen, thus saving time and resources.

A successful model in various countries

Many countries like Singapore, Australia, and the U.S. among others are upgrading the cumbersome renewable energy verification process through the use of the blockchain. Start-ups like Power Ledger and Clean Energy Blockchain Network are using blockchain technology to gather and digitize the electricity information of consumers.

@Lightdefi and @lightminer cryptocurrency invests in solar energy is a digital currency that uses blockchain technology to facilitate investing in solar energy. The coin was created with the aim of making investing in solar energy more accessible and simplified.#ESG #ETH #BNB pic.twitter.com/mePfnTaRR0

— Meva 光定义 (@MevaCripto) April 21, 2022

The story so far in Asia

Asian Development Bank has predicted that annual energy expenditure will increase from US$700 billion to $1.6 trillion by 2035. Thus the platform can be of great use to switch towards increased usage of renewable energy resources.

A tapas restaurant owner, Benson Wang, saved SGD$900 (US$658) over the past three months since using the new service of the decentralized energy distributing platform, Electrify. In Singapore, about 500 companies have saved a total of SGD$1.5 million by using Electrify in just one year.

Also, read – What is Polkadot, and why is it widely used blockchains today?

Julius Tan, co-founder, and CEO of Electrify was quoted saying, “Many industries are going from centralized to decentralized to the sharing economy. We see the energy industry as no different.”

Meanwhile in the U.S.

SunPower by Stellar Solar’s founding partner Michael Powers in a meeting with Forbes explains the need of using such platforms as, “Right now, solar producers are paid at regulated net metering rates, which are actually being reduced by regulators and the utility industry and across the U.S.”

He further explains the advantage of such platforms: “With the free the market system, solar producers will find new energy users who are willing to pay more for clean energy if they can’t deploy solar panels themselves. If the energy blockchain makes that possible, why wouldn’t we do it?”

The future of energy sharing is completely evident and the blockchain is going to be the backbone of our society in the future.